By Wallace Witkowski
WD-40 Co. shares rallied in the extended session Thursday after the maintenance and cleaning products company posted a big earnings beat and forecast that rising inflation would have a small effect on the year’s profit.
WD-40 /zigman2/quotes/204555241/composite WDFC -0.95% shares surged more than 11% after hours, following a 0.2% decline in the regular session to close at $174.51.
The company reported fiscal second-quarter net income of $19.5 million, or $1.41 a share, compared with $17.2 million, or $1.24 a share, in the year-ago period.
Revenue rose to $130 million from $111.9 million in the year-ago quarter.
Analysts surveyed by FactSet had forecast $1.01 a share on revenue of $126.8 million.
“As we look to the remainder of the fiscal year, we’ve reduced our net income guidance by approximately two percent for the full fiscal year due to the challenging inflationary environment we are currently operating in,” said Garry Ridge, WD-40 chairman and chief executive, in a statement. “However, we have been able to maintain our revenue guidance and believe we will finish fiscal year 2022 with both topline and bottom-line growth.”
Earlier in the year, the company forecast full-year revenue of $522 million to $547 million. Analysts expect full-year revenue of $533.3 million.
Earlier in the week, the stock was downgraded due to rising costs and a small exposure to Russia.